August 8, 2023
Sell Your BSX November 55 Calls.
Next up is BSX, which we are also going to sell as the stock and med-tech plays, in general, have been weak.
To execute this trade you need to:
Sell to Close your BSX November 55 Calls
Should the market continue to weaken, we could sell more. But for now, let’s stick with our longer-dated positions.
May 18, 2023
Buy the Boston Scientific (BSX) November 55 Calls (exp. 11/17/2023) for $4 or less.
As I wrote on Monday morning, the call buying in Boston Scientific (BSX) is everything I look for in a stock. What I mean is the sizes of the call buys were large, and traders bought steadily for days/weeks. Throw on top of that the stock has been a steady riser, and I was intrigued.
Fast forward a couple days and the market is now showing signs of life as the Nasdaq has blasted higher, while the S&P 500 is strengthening. These somewhat promising signs for the market, as well as a bullish day in terms of overall option activity, lead me to believe it’s time to add a new position to the portfolio.
To execute this trade you need to:
Buy to Open the BSX November 55 Calls
The most you can lose on this trade is the premium paid, or $400 per call purchased.
The risks I see in this trade are general market/sector risk. And along those lines, it’s absolutely possible that the market could unwind again at any moment as the regional banks are still a worry, and breadth has been suspect at best. That scenario could certainly hurt our BSX calls.
That being said, should the market get in gear, BSX has the look of a stock that could be on the verge of breaking out, and given the bullish option activity and reasonable price of this November call, I am going to add BSX to the portfolio today.
| Position | BSX November 55 Call |
| Position Strategy | Buy Call |
| Opened Date | May 18, 2023 |
| Expiration | November 17, 2023 |
| Net Price | 3.36 |
| Strike | 55 |
